Update on FLSA 
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Update on FLSA

Court Order Blocks FLSA Overtime Changes

This message is an update regarding the university’s compliance with the Fair Labor Standards Act (FLSA) that we previously shared. Per Laurita Thomas:

"Last week a federal judge in Texas issued a nationwide court order to block changes to the FLSA that were intended to take effect on December 1, 2016. These changes would have raised the salary threshold for an individual to be considered exempt from earning overtime pay to $47,476, impacting about 2,400 faculty and staff at the university.

As a result of this court action, the university has paused our implementation of these changes until the legal outcome is clear. There are two immediate impacts for the university community:
  1. Salary increases to meet the revised threshold that were to be effective December 1 will be put on hold until the legal challenge is resolved and any regulatory changes are finalized (including post-doctoral fellows, research track faculty and primary staff). Salary offers that have already been made in employment offers and accepted will be honored.
  2. Individuals who were re-classified to FLSA non-exempt due to the revised salary threshold will return to exempt status on December 1 until the legal challenge is resolved.
Please contact umichflsa@umich.edu or visit hr.umich.edu/2016-flsa-changes for more information.
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